Mexico secures 90-day extension on Tariff Increase
90-Day Tariff Extension: Mexico secured a 90day delay on the implementation of 30% U.S. tariffs on its exports after a call between Presidents Sheinbaum and Trump, allowing space for broader trade talks.
Current Tariff Conditions: Mexico maintains:
• 25% tariffs on non-USMCA products,
• 50% on steel, aluminum, and copper,
• 25% on automobiles.
NON-TARIFF BARRIERS AND SECURITY DEMANDS:
Trump stated Mexico agreed to reduce non-tariff barriers and intensify cooperation on drug trafficking and immigration, possibly including targeted actions against organized crime.
COPPER TARIFFS:
New Section 232 copper tariffs could still affect Mexico under the current U.S. industrial policy.
GEOPOLITICAL CONTEXT:
Canada faces 35% unilateral tariffs, while the EU secured a 15% tariff ceiling deal with the U.S., giving it a comparative trade advantage.
US - MEXICO PRESIDENTIAL NEWS
HIGH-LEVEL ENGAGEMENTS:
President Sheinbaum met with U.S. lawmakers and Ambassador Johnson, reaffirming cooperation on migration, border security, fentanyl, and economic issues. U.S. lawmakers praised Sheinbaum’s alignment with U.S. goals.
CJNG ARMS NETWORK DISMANTLED:
A U.S. investigation recently dismantled an international arms trafficking network linked to the CJNG cartel, signaling stronger bilateral security cooperation. The U.S. views such collaboration as a prerequisite for favorable trade terms.
REMITTANCES DECLINE:
In June 2025, remittances to Mexico dropped 16%—the worst fall since 2012—due to Trump’s anti-immigration policies pressuring undocumented workers.
FINABIEN CARD INITIATIVE:
Mexico launched the FINABIEN card to encourage electronic, tariff-free remittances, mitigating the economic impact on low-income families in response to the remittances drop.
ECONOMIC RISKS:
A prolonged drop in remittances could lower domestic consumption, deepen regional inequality, and pressure local economies, emphasizing the need for financial inclusion and cross-border cooperation.
STRATEGIC LEVERAGE:
As U.S. trade pressure grows, Mexico’s cooperation on organized crime and security may become key leverage in future trade negotiations.
SOURCE: WHITE HOUSE
LEGISLATIVE CHANGES AND INITIATIVES
LABOR
• INITIATIVE WITH DRAFT DECREE TO ADD A NEW SECTION IV TO ARTICLE 74 OF THE FEDERAL LABOR LAW, WITH SUBSEQUENT SECTIONS RENUMBERED
Objective: Establishes Thursday and Friday of Holy Week (Semana Santa) as mandatory paid rest days each year.
Status: 2025-07-30 – Published in the Parliamentary Gazette
• INITIATIVE WITH DRAFT DECREE TO AMEND ARTICLE 123, SECTION A, CLAUSE VI OF THE POLITICAL CONSTITUTION OF THE UNITED MEXICAN STATES
Presented by: Parliamentary Group of Movimiento Ciudadano
Objective: Proposes that the general minimum monthly wage must equal at least the cost of two basic baskets and cannot be adjusted below inflation rates.
Status: 2025-07-30 – Published in the Parliamentary Gazette
• INITIATIVE WITH DRAFT DECREE TO ISSUE THE FEDERAL LAW ON LIABILITY FOR ABUSE OF LEGAL PERSONALITY AND PIERCING THE CORPORATE VEIL
Objective: Proposes a new federal law to combat abuse of corporate structures used to evade legal obligations or harm third parties. It sets clear criteria and legal presumptions to allow judges to pierce the corporate veil in justified cases, ensuring legal certainty and protecting honest economic actors.
Status: 2025-07-30 – Published in the Parliamentary Gazette
LEGISLATIVE CHANGES AND INITIATIVES
INFRASTRUCTURE
• INITIATIVE WITH DRAFT DECREE TO AMEND AND ADD VARIOUS PROVISIONS TO THE QUALITY INFRASTRUCTURE LAW
Objective: Requires review of Official Mexican Standards on health, environment, or public safety every three years, and mandatory technical review if unchanged for over ten years, with updated technical-legal justification.
Status: 2025-07-30 – Published in the Parliamentary Gazette
PUBLIC ADMINISTRATION
• INITIATIVE WITH DRAFT DECREE TO AMEND VARIOUS PROVISIONS OF THE FEDERAL CRIMINAL CODE
Presented by: Dip. David Azuara Zúñiga (SLPPAN)
Objective: Seeks to increase penalties for vehicle theft and robberies against cargo and passenger transport, especially when committed with violence or using traps on federal roads.
Status: 2025-07-30 – Published in the Parliamentary Gazette
NEWS BY STATE
BAJA CALIFORNIA
Mexican developer Meor has announced the construction of HubsPark Tech Campus, its fourth industrial park in Tijuana, with a projected investment exceeding $800 million. Designed as an integrated hub combining manufacturing, technology, and business services, the project will be developed in five phases over seven years, ultimately covering 167 hectares and generating over 16,000 jobs (6,000 direct and 10,000 indirect). The first phase is already underway, with $150 million invested in 120,000 m² of industrial space across three buildings. Positioned just minutes from key business districts, the campus aims to attract companies in logistics, advanced manufacturing, and tech innovation. Meor’s One Hub Solution model offers not just industrial facilities, but a full-service ecosystem with commercial areas and operational support, reinforcing Tijuana’s role as an industrial and logistical powerhouse. This initiative underscores Meor’s strategic commitment to infrastructure, talent, and competitiveness in northern Mexico’s industrial sector.
SOURCE: MEXICO INDUSTRY
NEWS BY STATE
CHIHUAHUA
German Ambassador to Mexico, Clemens Von Goetze, visited Chihuahua and Ciudad Juárez to strengthen economic, trade, and cultural ties between Germany and the region. In meetings with Governor María Eugenia Campos and local officials, he highlighted Chihuahua’s advantages for foreign investment, including its border location, infrastructure, and skilled labor. In 2024, Chihuahua exported over $200 million to Germany and imported more than $1.34 billion, ranking sixth in bilateral trade. The ambassador also discussed tourism, citing visits to attractions like the Copper Canyon, and toured facilities of German firms such as Bosch and Siemens. In Ciudad Juárez, he met with Mayor Cruz Pérez Cuéllar, praised the city’s workforce, and expressed interest in ongoing collaboration.
SOURCE: MEXICO NOW
NUEVO LEON
Nuevo León is positioning itself as a key hub for Mexico’s growing data center industry, with aspirations to serve as a redundancy base for U.S. infrastructure. The Oroma Park project in Linares, developed by Taylor Jackson Developers, exemplifies this potential by offering robust access to logistics, energy, water, and gas—critical resources for high-consumption industries like data centers. The Mexican Data Center Association (MEXCD) estimates the sector will attract $9.2 billion in direct investment over the next five years and contribute 5.2% to Mexico’s GDP by 2029. Oroma Park benefits from proximity to Texas gas pipelines, a major CFE substation, and multiple water sources, ensuring operational continuity. The state’s strong educational infrastructure also supports the demand for skilled labor, reinforcing the vision of retaining strategic investments within Mexico.
SOURCE: EL ECONOMISTA
NEWS BY STATE
TAMAULIPAS
The Puerto Norte in Matamoros, Tamaulipas, officially began operations on August 4, 2025, marking a major milestone for Mexico’s logistics and trade infrastructure. Inaugurated by Governor Américo Villarreal Anaya and supported by federal and local authorities, the port aims to reduce transportation time and costs for key industries such as automotive, steel, and energy across northeastern states like Nuevo León, Coahuila, and San Luis Potosí. Operated by Mota Engil México, the port began with the symbolic arrival of the vessel Integrador from Panama and currently functions on 3 of its 60 concessioned hectares, with the capacity to handle up to 2.3 million containers annually. The project is also generating local employment and aims to strengthen supply chains and global competitiveness, positioning the Gulf of Mexico as a direct connection to Mexico’s manufacturing hubs.
SOURCE: CLUSTER INDUSTRIAL
NEWS BY STATE
QUERETARO
QSM Semiconductors has unveiled the first IDM (Integrated Device Manufacturer) model designed and manufactured in Mexico, based in Querétaro. This model integrates chip design, manufacturing, and commercialization, targeting sectors such as healthcare, security, IoT, and consumer electronics. The company will focus on 450-nanometer legacy node technology, offering efficient and specialized solutions for specific applications. With over 40 specialists and a production plant currently being consolidated, QSM aims to develop a national ecosystem based on local supply chains, qualified talent, and applied technology. The company’s vision is to position Mexico as a key player in the global semiconductor industry, driving technological sovereignty.
SOURCE: MEXICO INDUSTRY
NEWS BY STATE
CDMX
The Ministry of Infrastructure, Communications, and Transportation (SICT), in coordination with the Mexico City government, is planning Cablebús Line 4, a major cable car project that will benefit over 298,000 residents in southern Mexico City. With an investment of 4.754 billion pesos and a twoyear construction timeline, Line 4 will span 11.4 kilometers, making it the longest cable car line in the world. It will feature 8 stations and 393 cabins, serving 65,000 users daily. The system will reduce travel time by 33% and connect underserved neighborhoods in Tlalpan and Coyoacán to key points like Metro Line 3, Metrobús Line 1, and Trolleybus Line 12. The route will link areas such as Pedregal de San Nicolás and University City, improving mobility for communities with limited infrastructure. This project builds on the success of existing Cablebús lines, which have provided over 160 million trips since 2021.
SOURCE: GOBIERNO DE MÉXICO
STATE OF MEXICO
Since September 2023, the State of Mexico has attracted over 138.3 billion pesos in national investment across logistics, commerce, real estate, and industry, according to Secretary of Economic Development Laura González Hernández. Speaking at the opening of a Tiendas Neto branch in Naucalpan, she highlighted efforts to boost investment through tax incentives in 35 municipalities, including property tax and operating license reductions. Municipalities such as Naucalpan, Nezahualcóyotl, Ecatepec, and Toluca already have incentive plans in place. González emphasized the role of these investments in generating employment and announced upcoming initiatives targeting the agricultural sector. Tiendas Neto, with 404 stores in 122 municipalities and two distribution centers, currently supports over 5,800 direct and indirect jobs. The company plans to invest 210 million pesos to open 55 more stores in the state by 2026. These developments aim to strengthen the State of Mexico’s economic growth in key sectors, positioning it as a competitive hub for business.
SOURCE: DIARIO PORTAL
INVESTMENT NEWS
CENTRAL MEXICO
TOKAI KOGYO
Japanese company Tokai Kogyo, announced the investment of USD 5.2 million dollars to expand its production lines in Aguascalientes. This initiative underscores the company’s commitment to strengthening its operational capacity in Mexico and contributing to the growth of the automotive industry in the region.
NORTH
KYUNGSHIN
South Korean company Kyungshin inaugurated the expansion of its Gómez Palacio plant with a $50 million dollars investment, which will create 1,000 direct jobs—60 percent technical and 40 percent operational. The new facility, Kyungshin Cable Gómez Palacio II, will specialize in manufacturing battery module assemblies (BMAs) for Ford’s electric vehicles, positioning Durango as a key player in the transition toward electromobility in Mexico.
SOURCES: CLUSTER INDUSTRIAL, MEXICO INDUSTRY
PRODENSA INSIGHTS
HOW TO QUALIFY FOR USMCA WHEN MOVING MANUFACTURING TO MEXICO
Understanding and complying with Rules of Origin (ROO) is essential for companies relocating manufacturing to Mexico. This guide breaks down how to qualify for USMCA tariff benefits, especially under the “tariff shift” and “regional value content” requirements. It outlines how to determine a product’s HS code, analyze its Bill of Materials (BOM), and meet specific thresholds set by the trade agreement. The post also explains the role of certifications and documentation in avoiding costly penalties.
NEARSHORE OUTSOURCING 2.0: THE SHIFT TO HIGH-VALUE WORK VIA TECHNOLOGY
Nearshoring is evolving—from labor cost arbitrage to value creation through advanced technology. This blog explores how companies are tapping into Mexico’s skilled workforce for functions like AI development, software engineering, and automation. It highlights how proximity, cultural alignment, and digital infrastructure are making Mexico a hub for high-value, tech-enabled services.
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